The Committee on East African Community Affairs is advocating for a seven per cent annual interest on termination benefits for former East African Community (EAC) employees.
The move aims to compensate for the 48-year delay in payments, which has resulted in some former staff passing away without receiving their benefits.
Hon. Samuel Opio (Indep., Kole North County) emphasized that the delayed payments should attract interest, as they constitute a domestic debt. He pointed out that the 1984 EAC Mediation Agreement, which governs the remuneration of former EAC employees, did not anticipate such an extended delay in disbursements.
During a committee meeting on February 4, 2025, attended by Minister of State for EAC Affairs Hon. James Ikuya and Minister of Public Service Hon. Wilson Muruli Mukasa, MPs urged the government to expedite the payments. Luuka North MP, Hon. Luke Inyensiko, criticized the government’s reluctance, comparing it to the swift compensation of former Uganda National Roads Authority employees.
Minister Ikuya acknowledged the government’s commitment but cited challenges with incomplete employment records. He proposed that the new law grant the minister sufficient authority to resolve these issues through consultations with relevant stakeholders.
Minister Muruli Mukasa assured the committee that, following the passage of the bill, the ministry would facilitate validation exercises to verify claims, using surviving former employees and records from the EAC secretariat in Tanzania.
The East African Community Mediation Agreement Bill, 2024, seeks to domesticate and implement the 1984 agreement, ensuring the proper remuneration and recognition of former EAC staff.
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